The relationship of unemployment and economic growth: The case of Afghanistan

The growth rates of Afghanistan's economy fluctuated during the period analyzed. Especially the fluctuation in growth did not change the unemployment rate much. Theoretically, while it is expected that unemployment will decrease with economic growth, such an expectation has not been realized, and it has been observed that positive developments in growth are not reflected in employment due to structural adjustment policies, liberalization of economic policies and fluctuations in financial markets. In this study, the relationship between economic growth and unemployment is tested with the Johansen Co-integration Test using the data of Afghanistan between 2003 and 2020 and it is concluded that both variables do not interact.